Monday, June 16, 2014

Case Study 3.2: As Vast as the Amazon



  1. Amazon.com tries to take strategic advantage of its resources. Of what physical resources does Amazon.com take advantage?
Ans:
Amazon.com has a storage network that is distributed around the globe on which the data are replicated, so that if one server is down, another server can still provide the data without even the client know about the incident.

  1. Does Amazon.com strategically leverage anything else in addition to physical assets?
Ans:
Aside from their strong storage network, Amazon.com has a fast and reliable uptime service because in Amazon.com, reliability and speed of access are in utmost importance. This is important to businesses which offer or need large amount of data to be stored and need to be access from time to time to be shared by their users/clients.




  1. What are the benefits of S3 for small companies?
Ans:
S3 gives the small business the opportunity to compete to large companies because there is no need now for them to buy expensive data storage servers to cater and store the data of their client. Small business will just now pay a very small amount of money as they only pay 15 cents per 1GB of data as they only pay what they only used. There is no need now for the small businesses to hire extra employee to handle the data storage maintenance.

  1. As its current rates for S3 services, Amazon.com does not make a great profit (or any at all). Why, then do you think Amazon.com offers S3?
Ans:
Though as what the Amazon.com said that they don’t expect to earn much with their S3 services, for sure they won’t waste the technological advantages that they have now. All they have to do is create or divert it to a new direction. Sometimes, it doesn’t always go well on the first try but it is different on the second try. What the S3 service can provide there’s got to be money on this; they only need to figure it how.

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